Evita Corporation prepares its statement of cash flows using the indirect method.Evita's statement showed "Net cash provided by (used in) operating activities" of $46,000.Under the direct method, this number would have been:

A) $0.
B) $46,000.
C) greater than $46,000.
D) less than $46,000 but greater than $0.

Indirect Method

A technique used in cash flow statement preparation that adjusts net income for changes in balance sheet accounts to calculate operating cash flow.

Operating Activities

Cash flow actions related to the day-to-day operations of a business, such as receiving cash from customers and paying suppliers.

Direct Method

An allocation method that directly assigns service department costs to producing departments without any intermediate allocations.